GameStop CEO Loses Nearly $100 Million in Shares

In just three years, GameStop’s fourth CEO has forfeited $98 million worth of shares. The reason has been stated as a failure to meet performance targets. George Sherman’s 587,000 shares were given up along with 119,000 shares from Chris Homeister, GameStop’s chief merchandising officer, who also failed to meet targets.

The filing which revealed this news does not go into detail as to what these missed performance targets include. All it states is that it was a failure as part of a 2019 agreement, when Sherman was given the shares in the company.

The news comes amid rumors that GameStop is looking to let go of Sherman. This news comes from sources speaking to Reuters earlier this week. They claim that Sherman is being let go so the company can abandon the physical storefronts and embrace the digital marketplace, as brick and mortar stores continue to die in the face of internet shopping.

If other reports are to be believed, this wouldn’t be the only executive shakeup of 2021 for GameStop. Reggie Fils-Aime ended his post-Nintendo career at the company just a few weeks ago after less than two years with the retailer. This news too was dropped discreetly in a SEC filing.

Overall, it’s been a very eventful year for the chain of gaming outlets. Despite seeing its stock prices soar to record highs thanks to the wallstreetbets subbreddit incident, nothing seems to be able to keep GameStop from its downward spiral, which has only been worsened by the pandemic lockdowns.

However, this “out with the old” strategy may be GameStop’s initial steps to embrace the internet culture. This would also explain why the company is on a hiring-spree for people who are experienced in blockchain, crypto, and NFTs. While executives may hope that keeping up with internet fads and culture may be a way out of the numerous financial problems, this may just be the eccentric final chapter in the long and notorious story of GameStop.

About GameStop

GameStop Corp. is an American video game retailer that sells gaming merchandise like game titles, consoles, and accessories through digital and physical formats. It is a Fortune 500 company and owns over 5,000 stores across various countries.